LSB Industries, Inc. announced that a subsidiary in its Chemical Business entered into agreements with SAIC Constructors, LLC to construct a 360,000 ton per year nitric acid plant and a 40,000 ton per year nitric acid concentrator plant at an LSB subsidiary’s site in El Dorado, Ark. The agreements provide for SAIC to manage the construction of the plants. The obligations under the agreements are guaranteed by each party’s parent company.
The total cost of the plants is estimated to be approximately $120 million. The plants are expected to be completed by mid-2015, subject to timely receipt of environmental permits and assuming no unexpected delays.